Fair Value Gap (FVG)
Filter in the app: FVG
A fair value gap, shortened to FVG, is a three-candle imbalance. The wick of the first candle and the wick of the third candle do not overlap, so a range is left untouched in the middle. People search for a fair value gap when they want a name for that skipped range. An FVG is not an order to trade, and it does not mean price will go up or come back on a schedule. In PatternLabs the filter is called FVG. This page explains the fair value gap and how a scan uses FVG. It is not financial advice.
What a fair value gap shows
A fast move can print three candles where the middle candle is large and the candles on either side leave a gap between their wicks. That gap is the fair value gap. Traders draw it as a zone, not as a single price. An FVG after a strong rise is often discussed as a zone price might revisit. An FVG after a strong drop is discussed the same way in the other direction. The word often is the whole point. A fair value gap records that a range was skipped. It does not require a later fill, and a fill does not require a bounce.
What FVG does not say
A fair value gap is not a promise that price will return, and it is not a promise of profit if it does. Gaps can sit unfilled. Price can trade through an FVG and keep going. Several fair value gaps can overlap until the chart is mostly boxes. PatternLabs does not place an order when it finds an FVG. The filter lists pairs where a fair value gap is present. A match is a chart to open, not a conclusion.
How to look for FVG in PatternLabs
Open PatternLabs and select a market. Add FVG to the filter chain on the timeframe you care about. The scan lists pairs where that fair value gap condition matches, across the crypto spot and forex pairs the app covers. Open a row to see the zone on the chart. You can narrow the list with filters that already exist, such as BOS, Order Block, or Volume. The name to add is FVG. There is no separate fill button and no extra control hiding under another label.
How to read a match
Check how the fair value gap was created and what happened after it. A fresh FVG and an old FVG that price has already traded through are different pictures, even though both can be called a fair value gap. Compare the zone with the swings around it. PatternLabs shows the match so you can do that. This page does not tell you to buy or sell when you see an FVG, and it does not claim the gap must hold.